HULL AND MACHINERY COVERAGE Clause Samples

HULL AND MACHINERY COVERAGE. This policy will provide the broadest possible scope of property coverage available including all Traditional Commercial Hull insuring conditions, American Institute clauses (including liner negligence, SR&CC, vandalism and theft clauses) covering the vessel for physical damage at a value that represents one hundred percent (100%) of the replacement cost for each Vessel. The policy will include Agreed Amount (waving co-insurance) and replacement cost valuation endorsements. The policy shall include appropriate Mortgagee, Breach of Warranty and Loss Payee endorsements in favor of Agent Bank. The policy may contain a deductible of no greater than two percent (2%) of insured value per occurrence.